Erp Integration Definition

An ERP integration definition is a process or set of procedures whereby an organization integrates its disparate enterprise resource planning (ERP) software applications. This integration can be accomplished via a number of methods, the most common being data exchange, application programming interface (API), and web services.

Enterprise resource planning software applications manage a company’s critical business functions and data, such as financials, human resources, manufacturing, supply chain, and customer relationship management (CRM). Consequently, these applications must share information with one another in order to provide an accurate real-time view of the organization’s overall performance.

In theory, ERP systems are designed to be integrated out-of-the-box. However, in practice, many organizations find that they need to customize their ERP applications or use third-party software to achieve the level of integration they require. These customization efforts can be time-consuming and expensive.

The benefits of integrating ERP software applications include:

* Improved decision making: When information from all parts of the organization is available in one place, managers have access to complete and accurate data that can be used to make better informed decisions.

* Increased operational efficiency: By automating manual processes and eliminating data silos, businesses can run more efficiently.

* Reduced costs: An integrated ERP system can help businesses avoid duplicate data entry, reduce inventory costs, and improve supplier relationships.